Home Levant Dawn of the new Amman

Dawn of the new Amman

by Executive Staff

With the exception of the city’s numerous minarets and a giant flag, Amman has always been a predominantly horizontal city. But this is about to change, since the Greater Amman Municipality (GAM) adopted an ambitious master plan in 2007 that allows for the construction of towers up to 200 meters tall. As urbanists, architects and property developers rub their hands to construct the future Amman skyline, critics wonder how the city’s infrastructure will cope, while Jordanian MPs in April raised questions regarding the way multi-billion dollar contracts are concluded in the kingdom. Last but not least, there is water or, more precisely, the lack of it.

From the hill-top remains of a Roman temple, Amman looks a bit like a giant beehive spread out over the rolling hills, a concrete sprawl of three and four-storey buildings. From here, one can perhaps understand the Jordanian capitals’ reputation for being dull and ugly. To most visitors it is but stopover. The city’s reputation however, no longer matches reality.

Gentrification of a capital

In recent years, a number of cafés, restaurants and clubs have opened, while malls and supermarkets offer the latest in food and fashion. In an attempt to beautify the city, the GAM has largely banned billboards, planted trees and made the city more pedestrian friendly. More importantly, from an urbanist point of view, Amman is simply fascinating, as it is one of the fastest growing cities in the region.

While in the early 1920s the city hosted some 25,000 people, today over 2 million live in Amman, which is expected to increase to some 6.4 million by 2025. In terms of size, by that date the Jordanian capital is to grow from today’s 700 square kilometers to some 1700 sq km. To streamline this massive growth, Jordan’s King Abdullah II in 2006 asked Amman mayor Omar Maani to formulate the urban master plan, which was presented in phases throughout 2007.

“We can’t afford to continue our current development trend because it will lead to unprecedented urban sprawl that will exacerbate our transportation problems and eat up some of Jordan’s most productive agricultural lands,” said Maani when presenting the masterplan’s first phase designating four areas of High Density Mixed Use (HDMU).

These four areas are the future Central Business District of Abdali, the Central Parkway between Jabal Abdun and Jabal Amman, as well as two areas located close to the city’s northern and southern gateways. For each cluster, a strict number of low, medium, high rise and landmark towers has been determined, each with exact measurements to preserve the city’s “view corridors.”

In February 2008 Dubai World’s property developing arm Limitless announced that it is to build two 200 meter-high residential towers at the Central Parkway. With a price tag of $300 million, the landmark twins will add some 600 luxury apartments to Amman’s housing market, which has recorded an unprecedented growth. Over the past four years, real estate trading increased by nearly 150%.

One of the main reasons for this growth is the fact that, since the US-led invasion of Iraq in 2003, Jordan absorbed a wave of Iraqi refugees, many of whom are quite well off. The sudden increase in demand for housing saw property prices soar, particularly in the more affluent western part of the capital. Experts estimate that prices in West Amman increased by some 300-400%. Furthermore, there is a growing demand for modern office space, especially from foreign organizations operating in Iraq. Add to that normal market drivers, such as a 2.3% population growth rate and a growing economy, and it should not come as a surprise that Arab nationals increasingly invest in Jordan.

“Jordan’s fast-growing economy, changing real estate requirements, convenient location and stability make it a firm favorite in our list of markets,” Limitless CEO Saeed Ahmed Saeed explained. “Limitless Towers is the first of several distinctive, sustainable projects currently being assessed by our Jordan team.”

The Dubai company is not alone. Billions of dollars are being poured into the kingdom, with Amman seeing most of the action, followed by Aqaba and the Dead Sea. Thus, the Gulf Finance House has invested some $1.5 billion in three projects, including the Amman Gate towers, while Emaar is building a handful of luxury resorts popping up along the Dead Sea. In Aqaba, the $1 billion Saraya Aqaba project and the $1.5 billion Ayla Oasis are under construction, while in April 2008 Abu Dhabi-based property developer Al Maabar signed a $5 billion contract to relocate Aqaba port and develop a new city center.

Other real estate firms have targeted the enormous market for low- and middle-class housing. Tameer International is constructing a city of some 16,000 units in Zarqa. Last but not least, there is the $1.5 billion Abdali Urban Regeneration in the heart of Amman, one of the city’s four areas designated for high rise buildings.

Heart of the city

Today, between Shmeisani and downtown Amman, the area has been fenced off as the foundations are laid for what is set to become the new heart of the city. The project is an initiative of Abdali Investment and Development (AID), the main shareholders in which are Oger Jordan, part of the Hariri group, and the National Investment and Development Corporation (Mawared), the property development arm of the Jordanian armed forces.

Much like the role Solidere played in the reconstruction of downtown Beirut, AID has developed the Abdali master plan and is responsible for the construction and exploitation of the project’s main artery, a 320-meter-long shopping boulevard. The remaining 75% of the project, with a total built-up area of one million square meters, has been sold to private developers, such as Damac and the Capital Bank of Jordan, which is to construct its 220-meter-high headquarters there.

After the initial presentation of the four hubs, the GAM later presented the remaining chapters of the masterplan, dealing with the improvement of the city’s main access roads and corridors, the preservation of rural areas and continued development of industrial sites, among other projects. As Jordan’s population is to more than triple, the GAM estimates one million extra jobs are needed, about a third of which is to be provided by industry.

Finally, in December 2007 the municipality presented the long-awaited plans for the largely vacant lands along the Airport Road, one of Amman’s most prospective areas and the subject of intense speculation. Contrary to what many had expected, the road will not be home to major highrises, but to a mix of land use. Seeing the close proximity of the airport, as well as several universities, the GAM hopes to attract smart business and research centers, while preserving the existing forest and (some) agricultural lands.

The Amman master plan is a balanced blueprint for future growth and was overall well-received. However, one often-heard concern is that the strategic decision “to go vertical,” will lead to a congestion of the capital’s infrastructure. So far, Amman has been largely spared from the daily traffic jams all too familiar in most Arab cities. The city is largely blessed with multi-lane roads and modern traffic regulation systems, yet the first signs of congestion are starting to become apparent.

“We have been closely collaborating with the GAM to ensure that sound traffic solutions are implemented, especially since the new downtown Amman will be a high density area with over 90,000 people residing, commuting and visiting on a daily basis,” said AID Marketing Director Luna Madi. “Therefore, we have incorporated parking facilities which will hold over 25,000 vehicles. In addition, the inroads were especially designed to calibrate offsite traffic flow and check overall congestion.”

According to Amman Mayor Maani, the year 2008 is all about transport. “Money tends to park itself in buildings these days, but we believe that is insufficient for sustainable growth,” he said. “Other factors must be taken into consideration, such as livability, infrastructure and public transport. There are currently some 750,000 cars in the GAM area. So, providing decent public transport is very important, as well as promoting pedestrian-friendly areas.”

Privatizing development

The privatization Amman’s formerly state-owned bus company and the arrival of over 100 new busses was a first step in improving public transport. Meanwhile, the GAM started construction of the 120-km long Amman ring road, which aims to decrease traffic flows within the city, while in June 2008 construction will start of a $250 million light rail connection between Amman and the neighboring city of Zarqa, home to many who commute to the capital on a daily basis.

According to Maani, the light rail is to halve commuter traffic between the two cities and will be extended to the airport and other parts of Amman if proven a success. The mayor caused some controversy when in mid-April he announced plans to sell 55 hectares in the heart of the capital to the Lebanese billionaire and former Prime Minister Najib Mikati for $1.5 billion. Mikati is to build a complex of government buildings, which then will be leased to the state. This proposal, and especially the $5 billion port deal with Al Maabar in Aqaba, provoked Jordanian MPs to raise a number of critical questions.

“The problem is the lack of transparency. Such contracts are required to be made public,” said senator and former Prime Minister Taher Masri. “The government must explain the circumstances of these investments, which happen in the dark. The Jordanian people might not feel the positive effects of privatization plans which will only benefit a small group of the rich.”

“Past experiences in Jordan have unfortunately proved that secret deals were designed to hide paid commission,” political analyst Fahd Khitan told AFP, criticizing the under-the-table agreements reached without the knowledge of the council of ministers. “Negotiations on privatization plans, including tenders, should be subject to public debate, particularly projects that are related to national or historical values.”

However, a lack of transparency regarding multi-billion investments and privatizations schemes is not Jordan’s only worry. On the long term, a much more frightening scenario could disrupt the kingdom and Amman’s sustainable growth: a drastic lack of water. Already one of the water-poorest countries on earth, by 2025 Jordan may be able to offer the perfect home to its citizens and tourists alike, yet arguably not a weekly shower.

Admittedly, the government has made a head start in saving and reusing water while Amman’s ageing network is under repair. However, seeing the fact that the city’s 2 million inhabitants already need to ration water use to make it to next week’s delivery, more drastic measures will be required to accommodate a city of over 6 million people.

Generally, government points at two solutions: the Diseh pipeline and the Red-Dead Canal. Diseh, a natural aquifer, has water, yet it is a non-renewable source near Wadi Rum in Jordan’s deep South. Inexplicably, it is today used for agriculture, while at the same time fueling Aqaba’s rapid expansion.

Critics wonder, therefore, just for how long a $750 million pipeline from this non-renewable source could benefit Amman. The $3 billion Red Dead Canal, combined with a desalinization facility, could be a way to help Jordan quench its thirst and save the Dead Sea from completely evaporating. One thing is certain however: the next Amman urban master plan will have to deal with water as an integral part of the city’s infrastructure.

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